Development of Artificial Intelligence, Legal Technology and Online Dispute Resolution in Hong Kong Legal and Alternative Dispute Resolution Industries

Abstract: Legal technology, commonly known as (“LegalTech”), is the application of technology within the legal industry. It includes the use of Artificial Intelligence (“AI”), software and online platforms that enable lawyers, judges and other Alternative Dispute Resolution (“ADR”) professionals (e.g., mediators, adjudicators and arbitrators) to work efficiently and effectively.

LegalTech and Online Dispute Resolution (“ODR”) have both been gaining popularity globally, and Hong Kong is no exception. In recent years, there has been a significant increase in the use of LegalTech and ODR in Hong Kong (including tools on case management, Legal Chatbots, E-discovery software, online legal platforms, electronic signature software, predictive analytics tools, contract review tools etc.). The use of legal technology has been driven by different factors, including the growing demand for legal services, the need for efficient and effective legal processes, and the desire to remain competitive in the global market.

Although the LegalTech development is constantly evolving, and new tools and platforms are emerging all the time, providing law firms as well as ADR organizations with more opportunities to improve their efficiency and accuracy, there are also significant challenges of implementing legal technology in Hong Kong. By analyzing and studying the risks and challenges, legal and ADR industries can take appropriate measures to mitigate them and ensure that the industries can provide high-quality legal services to the clients.

This research paper aims to explore the development of legal technology and Online Dispute Resolution in Hong Kong, its benefits, opportunities, challenges, legislative requirements and limitations. It will also discuss and present recommendations on the use of technology in Hong Kong law firms and ADR institutions.

Research methodologies include literature review, survey (legal, ADR and technology industries) and different case studies. Research findings would be analyzed, evaluated and presented in this research paper.

Key words: legal technology, artificial intelligence, online dispute resolution (ODR), arbitration/mediation/adjudication

JEL code: K0